Commercial Professional Skills and Competency Framework

advertisement
Commercial Skills and Competency Framework for Developing and
Practitioner Levels
Sourcing
Pre
Market
Document Title
Commercial Skills and Competency Framework for
Developing and Practitioner Levels
Author
Ian Mackie and Jonathan Langley
Version
V4 16/10/15
Owner
Post Award
Contract
Management
© Crown Copyright 2015
https://www.gov.uk/commercial-and-procurement-training
UNCLASSIFIED
Page 1 of 18
Commercial Skills and Competency Framework for Developing and Practitioner Levels
1. Purpose of the Framework
The Commercial Skills and Competency Framework for Developing and Practitioner Levels sets out the current skills, behaviours and competencies (e.g. judgement and confidence)
which Civil Service commercial functions, and in particular those undertaking procurement activities, should demonstrate in delivering highly efficient, dynamic and professional
procurement and commercial roles that deliver value for money to the taxpayer within a regulated environment. This framework is an important component of driving up organisational
and individual capability as part of the commercial reform agenda. For those wanting to develop their commercial awareness, but commercial is not their principle activity, Civil Service
Learning offers a suite of awareness products designed for every grade level. https://civilservicelearning.civilservice.gov.uk/commercial
The framework covers the three key components of the commercial cycle that are generally applicable to all central government departments – Pre Market, Sourcing and Contract and
Supplier Management. It also incorporates two levels of integrated commercial skills and competencies – developing and practitioner. The Government Commercial Profession levels of
skills and competencies, corresponding to the “Expert” grouping outlined in previous versions of this framework, are now detailed in full within the Professional Standards for Government
Commercial Professionals.
This framework is designed to be used flexibly by departments to assist in the design of job descriptions, as part of recruitment processes and to assess the performance of staff within
the appraisal process. The framework can also be used as a source document for the development of career pathways for those entering and established within the commercial function
at all levels below the Government Commercial Profession levels (Commercial Lead, Associate Commercial Specialist, Commercial Specialist and Senior Commercial Specialist). The
source document for the development of career pathways for those entering and established within the commercial function above this level is the Professional Standards for Government
Commercial Professionals.
As the Government Commercial Function further develops and defines the core career levels – a new syllabus and curriculum will reflect the commercial value chain. This framework is
therefore subject to further additions, amendment and collaborative development as the Government Commercial Function sets competency and experience standards to ensure that
commercial staff can progress to more challenging roles at senior levels.
2. Ownership of the Framework
This framework is subject to Crown Copyright 2015 and will be maintained by the Government Commercial Function – in consultation with departmental representatives.
Enquiries about the framework should be directed to the Government Commercial Function: commercialcapability@cabinetoffice.gov.uk.
UNCLASSIFIED
Page 2 of 18
3. How the framework fits into the capability development and improvement agenda for professionals
This framework supports the Professional Standards for Government Commercial Professionals in providing the platform on which professional development, role design, performance,
recruitment and retention should be based. The framework also supports the development of an integrated curriculum.
This framework should be read alongside the Civil Service Competency Framework, particularly with regards to the good security behaviours that are expected of you as civil servants,
we are all responsible for the security of government assets whether that is information, services, buildings or our staff. Our responsibility for security is enforced both in the Civil Service
Code and the Security Policy Framework (https://www.gov.uk/government/publications/security-policy-framework ). The commercial profession should support good security behaviour
and this framework emphasises the particular security challenges that commercial officers should consider.
4. The components of the Skills Framework and how it should be used
The framework comprises of three components:
1. Pre Market – the process and skills to understand the market place in the development and delivery of a commercial strategy.
2. Sourcing - the commercial process, agreements and skills required to acquire goods, works and services that will deliver business outcomes, specifically legality and value for
money maximisation from existing commercial agreements.
3. Contract and Supplier Management (Post-Contract Award) – the process and skills used to manage the successful delivery of business outcomes and seek to maximise value
through the duration of the contract.
The Skill Levels in this framework:
The framework is aligned to levels of expertise required for the elements of a role that an individual is expected to perform, and not to current grading structures. It is for Departments
and their sponsored bodies to decide the levels of expertise required in each skill area for each post in their commercial function.
Developing – Developing demonstrates that somebody is able to understand key issues and their implications, and to ask relevant and constructive questions on the subject. They may
be at the start of their career or a practitioner of another profession with some involvement in commercial activities beyond awareness. The developing level individual demonstrates
behaviours and outcomes above an awareness level, but has not had sufficient opportunity or experience to put the skill into practice to merit Practitioner level. The Developing Level
corresponds to the Developing Commercial Practitioner core career level.
Practitioner – They display detailed knowledge of the subject and are capable of providing guidance and advice to others as well as undertaking commercial activity, based on significant
commercial experience and qualifications. The Practitioner Level corresponds to the Commercial Practitioner core career level.
The skills and competences are cumulative – i.e. to be assessed as a Practitioner, an individual must be able to demonstrate all of the skills and competences expected at the Developing
level.
UNCLASSIFIED
Page 3 of 18
The Government Commercial Profession Skill Levels:
This grouping covers those specialists who have developed their commercial expertise and experience beyond Practitioner level to reach Government Commercial Profession status.
This status is sub-divided into four levels: Commercial Lead, Associate Commercial Specialist, Commercial Specialist and Senior Commercial Specialist. Please note that the levels
within this grouping correspond to the “Expert” level included in the previous version of the Commercial Skills and Competency Framework.
The competencies and skills for the Government Commercial Profession are detailed in the levels within the Professional Standards for Government Commercial Professionals, rather
than this framework. Please note that some of the competencies at the Practitioner level are designed to encourage readiness for these more senior levels. Consequently, there will be
some overlap between the Practitioner level of this framework and the Commercial Lead level of the Government Commercial Profession levels.
5. The framework has a number of uses when embedded into departmental practices:
I.
Job descriptions/roles
The framework is intended to help public sector organisations to align roles with business requirements. It can be used to identify skill and knowledge requirements for different roles, at
different levels of seniority. For example, a role may require the individual to have awareness of some topics and to be practitioner level in others. It is not expected that any one role
requires an individual to have the same level of expertise in every skill area, or that every role will involve all the skill areas included in the framework. The skills and associated skill levels
defined in each job description should reflect the requirement of the job and host department and not the skills and experience of the current jobholder.
II.
Career development planning
Using the framework, together with the Professional Standards for Government Commercial Professionals, will enable individuals in a commercial function to plan their future development
by identifying what skills and knowledge they need to acquire to progress in their careers. Jobholders should be assessed against the agreed skills requirement and competencies for
the role they have, and for their next career move, and any gaps in skills or experience identified. The jobholder and their line manager can then draw up a learning and development
plan to help them to address those gaps.
III.
Team building and restructuring
The framework can benefit leaders who are building or restructuring a commercial function. When a new job, team or function is created to fulfil a defined purpose, this tool can be used
to identify and articulate the new skills requirement, which can then be used as part of the recruitment and selection process.
IV.
Consistent reference for learning and development
The framework will act as a platform for the development of further learning products and services for the profession and professional curriculum. When discussing skills-related matters
with departmental colleagues, this framework should be used, alongside the Professional Standards for Government Commercial Professionals, as a central reference point to ensure
consistency across the commercial community.
UNCLASSIFIED
Page 4 of 18
V.
Your role as a civil servant in ensuring security
Making effective decisions requires developing evidence based strategies, evaluating options, impacts, risks and solutions and creating a security culture around the handling of information
.This framework ensures that throughout the contractual process consideration is given to ensuring security is appropriate and considers:



Physical risks (e.g. Controlling who has access to our buildings and how much of the building they can access, when are deliveries made and what arrangements are in place)
Personnel risks (ensuring people are who they say they are, do contractors line manage sub-contractors effectively and identify possible motivations to compromise government
information)
Cyber risks (do suppliers hold official information on secure networks, are those networks regularly patched and do they control who can see that data within their organisation).
As commercial officers you will be agreeing contracts with a wider variety of external suppliers, providing diverse services and entrusting them to hold government information and assets
securely. This framework includes good security considerations that you should consider at the sourcing, pre-market and post award phases.
6. Equality Analysis
This framework was reviewed by a Departmental Diversity Officer to ensure that this framework is aligned to the aims of the Equality Duty as set out in the Equality Act 2010 to:


Eliminate unlawful discrimination, harassment, victimisation and any other conduct prohibited by the Act.
Advance equality of opportunity and foster good relations between people who share a particular protected characteristic and people who do not share it.
This framework has no adverse or disproportionate negative impact upon equality.
UNCLASSIFIED
Page 5 of 18
SECTION 1 – PRE MARKET
1.Principle and process
knowledge
Skill/Competency Area
Knowledge of pre market engagement,
understands how a market works and its
impact on effective service delivery and VFM.
Knowledge of category management principles
and processes and the main benefits/issues
with this kind of approach.
2.Initiating a pre-market and
category management
process
Identifying and understanding business needs
including security requirements (e.g. if a
supplier will be holding official information what
cyber security standards do they need to
meet?)
Identifying the pipeline.
Benchmarking current category state and
determining desired state.
Engaging and managing stakeholders.
Risk Management.
Developing
Refer to: Sourcing Section 4
Practitioner
Refer to: Sourcing section 4
Understands the principles and processes of
pre market engagement. Awareness of
markets and elementary economics factors
which may determine a market shape.
Provides a procurement lead and works as part
of cross-functional teams in order to implement
pre market engagement, understanding of
market models and market shaping.
Understands category management and
recognises the needs of various stakeholders.
Provides advice and guidance on category
management as required, and can manage
stakeholder expectations.
Appreciates the main components, benefits
and constraints to taking a category
management approach, can organise
requirements into appropriate categories and
understands the relationship between existing
and emerging requirements for goods and
services within discrete categories.
Refer to: Sourcing Section 4
Aware of the importance of understanding the
needs of the business and translating them
into category objectives. Understands the
importance of ensuring the whole category
management cycle is considered from the
start.
Aware that the security requirements of
departments are wide ranging and apply
proportionally to all contracts (including
protection of personal data and protection
against theft). Consideration should include
personnel, IT and physical concerns.
UNCLASSIFIED
Page 6 of 18
Understands the benefits, risks and issues of a
category management approach and can take
the lead in developing solutions.
Refer to: Sourcing Section 4
Works with key stakeholders to develop a
clear and agreed view of business
requirements and target outcomes.
Identifies personnel, cyber and physical risks
for both the contractor and potential vendor
ensuring that requirements are appropriate
and proportionate throughout the contract life.
Explains the importance of the whole category
management cycle, including contract
management and builds it into the plans from
the start.
Familiar with how to obtain data on past
patterns of spend. Identifies those parts of the
organisation that have or are likely to have
needs in the particular area in question.
Works alongside customers to identify and
agree present and future needs, linkages to
other areas of activity and related potential
needs for procurement.
Aware of tools and techniques that can be
used to benchmark the current state of the
category and to determine future requirements
and is able to use some under supervision.
Fully conversant with the use of tools and
techniques in order to benchmark categories
and determine the future requirements.
Supports others in engaging and managing
stakeholders.
Aware of the impact of risks and perceived
risks, and ability to identify possible risks and
escalate appropriately.
3. Developing the category
strategy and models for
delivery
Gathering data and conducting research.
Conducting stakeholder needs analysis and
determining strategic business priorities.
Prioritising opportunities and identifying
potential suppliers.
Defining the sourcing strategy, quantifying the
benefits and preparing the implementation
plan.
Aware of tools and techniques associated
with gathering commercial data and limited
ability to apply them under supervision.
Aware of the importance of working with
stakeholders both internally and externally in
order to understand the needs of the business
and wider cross-government strategies and
then building those needs into the category
strategy.
Confirms the type of supplies/services that
are required and identifies potentially suitable
suppliers and markets. Expressing the key
roles and responsibilities of prime and sub
contractors for delivery, security and KPIs.
UNCLASSIFIED
Page 7 of 18
Plans, delivers and maintains strong
relationships with stakeholders.
Identifies perceived and relevant areas of risk,
confirms there is a shared understanding of
risk, how it is to be allocated and gains
agreement on how it is to be managed.
Familiar and comfortable with tools such as
PEST, SWOT and Porters 5 Forces model
coupled with an appreciation of when and how
to exploit them to support procurement
processes.
Builds relationships with key internal and
external stakeholders in order to develop a
clear and agreed view of the needs of the
business and wider cross-government
strategies which can then be built in to the
category strategy.
Understands the requirement, the market place
and potential solutions. Can provide advice
and is able to challenge where necessary.
Contributes to the development of category
and sourcing strategy. Maintains strategies
and implements agreed sourcing plans.
Understands the importance of base-lining
costs in order to build expected benefits into
category strategies and is able to contribute to
the development of sourcing plans.
4. Implement the category
strategy
Market engagement.
Use section 2. Sourcing:
Sub-sections:
Understands the importance of prime
contractors in managing and assuring their own
supply chain in particular security of supply and
contingencies.
Develops category strategies, product road
maps and sourcing plans. Maintains these
taking into account outputs from market
analysis.
Base-lines costs using market knowledge and
research and manages sourcing and benefits
realisation plans.
Use section 2. Sourcing:
Sub-sections:
Carrying out a sourcing process.
Contracting with a supplier.
5. Maintaining and improving
the category
Managing and evaluating internal relationships.
Managing contract variation and changes.
4.Pre-procurement market engagement
5. Executing the sourcing strategy
6. Contract Award
Understands the differences between strategic
and non-strategic suppliers and the associated
supplier management principles.
Measuring and reviewing performance.
Identifying improvement opportunities and
delivering continuous improvement actions.
Continuing to align strategy and business
needs
Communicating progress in delivering strategy
and benefits
Aware of and understands the importance of
formal contractual variations, and works to
achieve VFM through variations.
Understands the role of key performance
indicators (KPIs) in delivering contracted risks
and reward mechanisms and ensuring
appropriate standards of delivery to the
customer.
UNCLASSIFIED
Page 8 of 18
4.Pre-procurement market engagement
5. Executing the sourcing strategy
6. Contract Award
Develops and applies the principles of supplier
management and manages strategic and nonstrategic supplier relationships appropriately.
Effectively manages relationships with
strategic partners to enable sound partnership
arrangements.
Manages contract variations, providing
practical advice and strategic direction.
Ensures that variations are planned and
agreed, negotiates them and seeks
appropriate authorisation.
Understands the benefits specified in the
business case and the impact on their own
role.
Manages risk and reward mechanisms in
contracts and manages KPIs and service
delivery standards effectively.
Adapts to changing circumstances without
losing sight of business objectives.
Monitors progress against the business
objectives and works with suppliers to
suggest improvements throughout the life of
the contract.
Understands the importance of communicating
with stakeholders at different levels and
ensuring they understand what progress and
benefits have been achieved.
SECTION 2 - SOURCING
1. Procurement policy and EU
procurement regulatory
framework imperatives
Skill/Competency Area
Understanding and implementation of
commercial drivers and procurement policy
objectives, applying them in sourcing projects
and operations.
Developing
Understands current government commercial
drivers and procurement policy requirements
(e.g. Lean sourcing, the centralised
procurement agenda for common goods and
services, Growth and SMEs agenda, publishing
forward pipelines and sustainable
procurement) and is able to apply them in the
work they carry out. Also, STACK principles:
Specialist capabilities are required across the
wider Civil Service as well as by a group of
commercial experts. Commercial expertise is
broader than what we refer to today as
‘procurement’.
Time should be spent where we can maximise
value. In a regulated procurement environment
this applies as much, if not more, before a
formal procurement starts as well as after a
contract has been signed.
UNCLASSIFIED
Page 9 of 18
Identifies changes in the business needs of
the organisation and develops new strategies
for the category accordingly.
Maintains relationships with strategic and nonstrategic stakeholders and communicate
progress with the category strategy and
benefits realisation.
Practitioner
Is able to successfully implement procurement
policy objectives in all sourcing projects and is
able to challenge risk averse behaviours
where appropriate.
Is able to navigate the EU legislative
framework and implement resource efficient
strategies that result in achievement of policy
objectives.
Able to apply the ten principles identified by the
NAO that are needed to achieve value for
money when sourcing operations from the
market to deliver public services.
Attitude, or judgement, is as important as
process and so we need all our dealings to be
about knowing what represents great value
and achieving it.
Crown is what we must always act as, and be
treated as a single customer.
Knowledge is key and we must seek, share
and use it to our commercial advantage.)
Understands the EU procurement regulatory
framework and its linkage to the
implementation of policy objectives.
2. Organisational specific
process and strategies and
their alignment with cross
government policy objectives
and targets
Implementing efficient organisational- specific
processes, governance mechanisms, security
requirements and strategy to deliver efficient
sourcing operations.
Aware of organisational policies, procedures,
security requirements and systems and has
experience of following them.
Aware of and understands the organisation’s
commercial strategy and the governance
mechanisms that drive it.
Understands both the organisations and
government-wide key performance indicators
and has experience of measuring
performance against them.
Aware of and understands the ‘Using Markets
to Deliver Government Service Guidance’.
Understands right sizing and optimal lotting on
procurement in order to get full value from
potential SME suppliers (buying from SMEs
when they provide best VFM).
UNCLASSIFIED
Page 10 of 18
Fully conversant with organisational
commercial strategy and procurement policies,
procedures, security requirements, processes
and governance mechanisms and is able to
advise and support colleagues in their
application.
Measures performance, challenges inefficient
processes and practices and makes proposals
for improvement.
Is confident in using the ‘Using Markets to
Deliver Government Service Guidance’. When
engaging in souring operations.
3. Procurement project
resource deployment and
utilisation
Procurement Project management and team
mobilisation.
Understands principles of Single Source
procurement Reform. Applies to qualifying
contracts to ensure compliance and to
continuously demonstrate VFM.
Understands that project planning and
management techniques should be applied to
procurement projects and that cross
disciplinary teams need to be deployed in order
to ensure success as part of a Lean sourcing
approach.
Recognises the need for, and has experience
of, involving the contract management function
and other internal stakeholders in the sourcing
phase to ensure early preparations for contract
management are factored into the plan.
Develops project plans and identifies project
risks and mitigating actions.
Identifies and works with cross disciplinary
teams (that includes the contract management
function) and applies a strong visual project
management approach to procurement
projects.
Seeks early active involvement of the contract
management function and other internal
stakeholders in the sourcing process to ensure
full and deep understanding of the resulting
contract.
Identifies when project approvals are required
and plans and prepares for them.
Able to quantify and source contract
management resources. Able to identify and
choose contract management representatives
to review tender pack and take part in the
evaluations.
4. Pre-procurement market
engagement
(Also refer to Pre
Market Section – Competency
2)
Identifying and understanding business needs.
Benchmarking against current provision
through market analysis.
Engaging with suppliers in the marketplace.
Developing the business case.
Understanding IPR issues.
Assists with running workshops with key
business stakeholders (voice of the customer)
in order to develop a clear understanding of the
requirement.
Assists with conducting pre-procurement
market engagement to ensure that the
requirement is clear and attractive to a diverse
range of suppliers.
UNCLASSIFIED
Page 11 of 18
Engages and works with key stakeholders to
develop a clear and agreed view of business
requirements and target outcomes.
Identifies the costs of existing or similar
service provision and engages with suppliers
in the marketplace in a planned way.
Shapes an output / outcome- based
requirement taking opportunities to capture
Develop commercial models and alternative
procurement routes.
Assesses the existing market dynamics
including concentration and competition within
the marketplace.
Identifies where existing collaborative deals
could form part of the solution to the
requirement and advises appropriately.
Understands that intellectual property rights
(IPR) is an important issue and needs to be
considered when shaping requirements.
Aware that the mishandling or loss of
government assets could have significant
reputational and economic costs for all parties.
Develops adequate awareness and knowledge
to consider the full spectrum of models which
can use markets to deliver services including
mutuals, joint ventures and disaggregation.
Recognises the need to involve legal expertise
in preparation of the contract and has some
experience of doing so.
views for innovation and structures
requirements into lots as necessary to ensure
that requirements are effectively allocated to
meet the agreed strategy.
Identifies and accesses existing collaborative
deals and assesses their suitability to meet all
or part of the business requirement.
Ensures IPR is fully considered when defining
requirements.
Demonstrates experience of gathering and
collating lessons learned from broader
commercial teams to feed into future
procurement projects and intelligence
performance of previous contracts.
Develops a robust business case/commercial
strategy and gains approval for it.
Understands how to use early market
engagement and robust data to inform
decisions on appropriate commercial models.
Understands how to use disaggregation to
‘right-size contracts’ including determining
whether horizontal or vertical disaggregation
would be most appropriate.
5. Executing the Sourcing
strategy
Developing the sourcing strategy.
Developing the specification, evaluation
criteria, terms and conditions as part of the
bidders pack.
Assists with the development of the bidders
pack (which includes the ITT, an
output/outcome based specification, evaluation
criteria, terms and conditions and summary
UNCLASSIFIED
Page 12 of 18
Develops a clear sourcing strategy that
reflects the needs of the business and is
aligned to procurement policy objectives and
plans for the necessary approvals.
Issuing OJEU notices and publishing bidders
packs.
Deploying e-sourcing tools to support the
sourcing process.
Supplier clarifications.
Bid evaluation.
Supplier dialogue and negotiation in complex
procurements.
information derived from pre procurement
market engagement).
Understands cost models and associated
financial, commercial and security concepts
and how they impact contract terms and
conditions and resulting supplier behaviours.
For example, cost structure of works/ services,
total cost of acquisition, open book accounting
methods, profit, ROI, debt equity depreciation
and value management.
Recognises and understands how financial and
contractual delegations assigned to individuals
forms part of organisational control and
governance mechanisms.
Recognises and understands the role of esourcing tools in supporting an efficient
approach to managing the sourcing process.
Recognises and understands the need to brief
and train evaluators in the use of e-sourcing
tools to ensure readiness for bid evaluation
and can assist with it. Identifying where expert
advice may need to be sought. For example,
IT, security, technical.
Uses e-sourcing tools to provide responses to
clarification questions from suppliers.
Aware of the importance of developing
effective negotiation skills.
UNCLASSIFIED
Page 13 of 18
Ensures that all pre-procurement engagement
has been completed and that the organisation
is ready to go to market.
Understands key financial, legal, commercial
and security issues in the development of the
contracting model and implements these as
appropriate in contract terms and conditions.
Develops and publishes a full and approved
bidder’s pack in line with financial and
contractual delegations.
Uses e-sourcing tools to support the sourcing
process.
Ensures that responses to clarification
questions are responded to in a timely manner.
Briefs and train evaluators in the use of esourcing tools and ensures that evaluators
have a clear understanding of the evaluation
criteria and are able to apply it consistently
and secure their availability. Liaising with
experts where appropriate.
Moderates evaluation scores efficiently and
fairly.
Ensures dialogue/negotiation strategies with
clear parameters are established in line with
organisational objectives and within limits of
delegated financial and contractual authorities.
6. Contract finalisation and
contract award
Contract award approvals.
Debriefing suppliers.
Preparing for contract management
mobilisation, such as creating and use of
Operations Manuals/User handbooks/Contract
Management Plans/Obligations Matrix
Understands the principles of when and how to
negotiate and the range of tactics that can be
used.
Has good experience of successfully
conducting a range of dialogues / negotiations
across a variety of market sectors.
Aware of and has practical experience of or
participating in conducting negotiations.
Actively involved in strategic and business
critical negotiations. Can adapt/flex tactics
during a negotiation without compromising the
agreed strategy and compliance with the
process.
Gains internal approval to award the contract
to the winning supplier once the standstill
period has been observed.
Aware of and understands internal approvals
process relating to contract award and how
financial and contractual delegations are a
key part of this to support this process.
Aware of and understands the requirement to
observe the standstill period.
Understands the need to debrief those
suppliers who have been unsuccessful and
has some experience of doing so.
Works effectively with the Contract
Management function as part of contract
management mobilisation phase.
Resolves any issues raised by the suppliers
during the standstill period.
Can develop debrief packs which are
compliant with the regulations for
unsuccessful suppliers, providing effective
and evidenced reasons.
Engages effectively with the winning supplier(s)
and agrees a plan to prepare the contract with
input from legal experts during the standstill
period.
Ensures that the contract is signed by
individuals with the relevant contractual or
financial authority to do so.
SECTION 3 – POST AWARD
CONTRACT MGT and
SUPPLIER MGT
Skill/Competency Area
Developing
UNCLASSIFIED
Page 14 of 18
Ensures that contract management
mobilisation phase and supporting activities
are carried out successfully.
Practitioner
1.Transition to contract and
supplier relationship
management
Mobilising the contract and identifying the level
of contract management activity required.
Assessing the required nature
of the relationship with the supplier(s) in line
with organisational Strategic Supplier
Relationship Management processes and
strategy.
Establishing effective relationships, behaviours
and governance mechanisms.
Aware of and understands organisational
contract management processes and has
experience of using them
Understands and is able to apply and advise
others on organisational contract management
processes.
Recognises that the scale and depth of
contract management is dependent on the
nature of the contract and its importance to
achieving organisational and policy goals.
Establishes effective working relationships with
peers in supplier organisations as part of
contract initiation and governance processes
using stakeholder and communications plans.
Assesses the level of resource and approach
required to manage the contract and identify if
strategic or non-strategic approach to supplier
management is required.
Works with senior internal colleagues in
establishing appropriate governance and
review mechanisms along with expected
behaviours for successful supplier
relationship management.
Aware of the importance of suppliers and subcontractors maintaining high security
standards.
Identifies and understands the contract
deliverables and the terms and conditions
associated with them.
2. Contract administration
Understanding, using and managing contractrelated information systems.
Can use contract information systems to
analyse contract performance.
UNCLASSIFIED
Page 15 of 18
Works closely with the Cabinet Office’s Crown
Commercial Leads to ensure that supplier and
contract management processes are aligned
with the whole of government strategic supplier
management processes where appropriate.
Develops effective working relationships with
senior staff in the supplier organisation and
establishes appropriate governance and
relationship arrangements.
Demonstrates a deep understanding of the
terms and conditions of the contract, the
deliverables and works with the supplier to
establish a plan for delivering them.
Agrees and clarifies contract management
responsibilities with stakeholders and can
advise them on setting up effective processes.
Articulates the impact of poor supplier and
sub-contractor security (e.g. a data loss) on the
Department’s and the Government’s reputation
Evaluates and monitors the performance of
suppliers against the specification, regularly
reporting and making recommendations for
remedial action in consultation with colleagues
Monitoring service levels, contractual
obligations and security controls.
Identifying and managing risks.
Can assist with monitoring progress against
objectives specified in the business case and
delivery against contractual and security
obligations.
Aware of types of contractual risk and is able to
identify risks and raise them with senior
colleagues.
3. Contract performance
management
Understanding and measuring KPIs in order to
deliver successful outcomes.
Incentivising, managing change, and
renegotiation.
Undertakes benefits realisation to ensure that
value for money is being delivered.
Understands and able to set up templates
and supplier meetings (project management
plans/operations manuals/risk
register/change control and filing structures).
Liaises with suppliers regarding contract
performance metrics, management
information and any risk / reward mechanisms
as part of an agreed measurement approach.
Monitors progress against business objectives
specified in the business case and can adapt
to changing circumstances without losing sight
of business objectives.
and suppliers, for example, such as claiming
service credits.
Provides practical advice to stakeholders
having identified, evaluated, negotiated and
apportioned contract and security risks.
Manages new SME suppliers to enable them to
deliver, demonstrate additional support if the
SME is supplying for the first time.
Actively monitors KPIs against baselines and
uses management information to improve
client and supplier performance. Manages and
eliminates under performance.
Develops opportunities to incentivise contract
delivery and continuous performance
improvement (where appropriate).
Aware of and understands the importance of
formal contractual variations and is able to
effectively plan for variations and set clear
objectives, ensuring that VFM is achieved.
Identifies where changes in the contract are
required, adopting strategies that support the
negotiation and implementation of these
required changes within the legal framework.
Works alongside other business areas of the
business (i.e. operational colleagues) to ensure
that thorough auditing of records and reports
regarding the supplier’s performance is
completed throughout the contract life.
Oversees measures and records the
realisation of benefits achieved as a result of
the performance management regime (or
change controls).
UNCLASSIFIED
Page 16 of 18
Challenges non-delivery of benefits and can
escalate when required. Uses risk
management in assessing contingency and
business continuity.
4. Supplier relationship and
performance management
Understand and deploys supplier management
tools and techniques.
Encouraging supplier innovation.
Dispute management, escalation and problem
resolution.
Understands how to adjust your model and
interact with the market over time in order to
minimise risks, build a broad supply base,
maximise the benefits of competition.
Aware of and understands relationship
management, supplier innovation and supplier
management principles, behaviours, plans
and techniques.
Supports others in maintaining good
stakeholder relationships as well as jointly
working to collect, collate and disseminate
market and supplier data, using market
intelligence gathering and use.
Identifies and addresses issues before
escalation without creating unnecessary
bureaucracy. Is able to escalate supply issues
to the appropriate level for resolution when
necessary.
Aware of supplier capacity, delivery capability,
geographic coverage, market and supply
situations which may impact on service
delivery.
Be aware of the benefits of changing your
approach to market over time.
UNCLASSIFIED
Page 17 of 18
Develops and applies the principles of
supplier management and supplier
performance management to meet the needs
of the organisation and optimise outcomes,
including security of supply.
Builds and maintains strategic partnerships
with key suppliers to share risks, benefits and
services costs, as well as identify possible
scope for supplier innovation during the
contract.
Facilitates relationship development between
appropriate teams within the Department and
suppliers. Uses client satisfaction surveys
(producing, conducting, analysis and action
upon result).
Effectively manages relationship with strategic
partners to enable sound partnership
arrangements and through effective conflict
resolution.
Actively reconsiders market approach over
time, including:
– Consider shifting balance of mixed market
towards private sector provision.
– Examine whether re-aggregation will yield
scale efficiencies.
5. Exit and Re Procurement /
Closedown
(Also refer to the
Sourcing section)
Ensuring contract delivery during contract
closedown and assisting with any new
arrangements or disposal at the end of the life
of the contract.
Preparing for re-competition working with
category teams as appropriate.
Aware of and understands disposal procedures
(including of classified assets and material),
the appropriate use of contract extensions and
contractual end dates thereby assisting in
monitoring contractual/supply horizons.
Manages the disposal or recycling process of
assets (including of classified assets and
material) as well as any intellectual property
that is no longer needed once the current
contract expires.
Contributes to the development of contract
renewal options, helping to achieve clear and
effective contract renewals that deliver stated
outcomes according to the contract terms and
conditions.
Leads all planning and preparation, goal
setting, strategy and tactics for re-procurement.
Able to undertake soft market testing.
Is able to work with category teams in
preparation for re-procurement (where
appropriate).
Ensures supplier performance is maintained
in any transition to new contractual
arrangements or to the end of the contract (if
not being re-competed).
Needs experience of gathering and collating
lessons learned from broader commercial
teams to feed into future procurement projects
and intelligence performance of previous
contracts.
Is able to use financial management and
benchmarking.
Understands and able to undertake proactive
change controls, such as horizon scanning and
evaluate the impact of supplier positioning,
such as mergers.
UNCLASSIFIED
Page 18 of 18
Download